Statement 1: Bank service charge is a book reconciling item and will never affect the bank proof of cash. Statement 2: The notes collected by the bank in prior period is added to current months receipts to arrive at the book adjusted cash balance.          Only statement 1 is true       Only statement 2 is true       Both statements are true       Both statements are false

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Statement 1: Bank service charge is a book reconciling item and will never affect the bank proof of cash. Statement 2: The notes collected by the bank in prior period is added to current months receipts to arrive at the book adjusted cash balance. 
 
 
 
 
Only statement 1 is true
 
 
 
Only statement 2 is true
 
 
 
Both statements are true
 
 
 
Both statements are false
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